July 2013: Mayor Drew Laughlin

Author: Drew Laughlin
| Photographer: Photography by Anne

The Condominium Conundrum
Normally, I don’t like presenting problems without solutions and options. As a Hilton Head Island attorney for over 30 years now, I like to provide my clients, when appropriate, with options. The same is true as mayor when dealing with island issues; it is my responsibility and duty as an elected official to not simply declare “we have a problem,” but to explore and articulate solutions to these problems. That normal way of doing business doesn’t easily apply to the following conundrum: Condominium units are individually owned, and the association decision process is dependent on complete agreement. So what happens when the conventional wisdom is that a condo needs to be redeveloped but not all condo unit owners agree?

Condominiums came into popularity beginning in the 1970s, and Hilton Head Island began experiencing their development at about the same time (11,436 units on HHI now). So, now we have condos that are nearing 40 years old. I used to like birthdays as much as anyone, but the older I get, the more different I look, and that is not always good! The same can be true for some condos. We have seen a surge of redevelopment and reinvestment on the island with hotels, clubhouses, and commercial centers, but what condominiums have you seen redeveloped? I can’t think of any, and the reason is that condos are individually owned. They are, in effect, floors of apartments layered inseparably atop each other and inextricably bound in ownership. You can’t keep your fourth floor while someone demolishes their second floor unit. Some island condos are visually feeling their age, aesthetically, and functionally. Whether an island condo or two ought to be demolished and rebuilt, I do not know, but there will be a day when that is needed. Demolishing or substantially rebuilding a condo, even with a reasonable expectation of a return on investment, isn’t easily achievable. So what to do?

Should the Town of Hilton Head Island change its LMO to allow or incentivize greater density for condos that wish to redevelop? Maybe, but under property right law, it still would require all unit owners to agree to the redevelopment, and that becomes complicated. Should the town condemn a condo? No, for a variety of reasons too numerous to mention. Should we pursue a legislative initiative with the state that has been used elsewhere called “en bloc sales,” where if a certain percentage of a designated building’s residents choose to sell their units, then the developer wins the option to buy all the units, which he can exercise at whatever price the supermajority agreed to? This doesn’t appeal to me.

The only tool I know that is available to me as mayor is simply to encourage condos unit owners in need to evaluate the potential return on investment. Condominium redevelopment sounds easy; it’s anything but.

About Us

In September of 2006, Celebrate Hilton Head (CH2) burst onto the scene with a fresh perspective on Hilton Head Island, Bluffton and the surrounding Low Country. At the helm was a team of young women (all under 30!) with no experience whatsoever in the publishing industry. The first year they made up the rules as they went along. CH2 (and CB2 – Celebrate Bluffton and Beyond), has evolved into a well-respected publication with over 150 advertisers and a distribution to over 47,000 locals and visitors each month.

Content ranges from Interesting Islander profiles and arts and entertainment pieces to food and wine topics and Hilton Head and Bluffton Business Profiles. CH2’s Bachelor of the Year Contest has blossomed into a greatly anticipated media event every year with viral marketing (i.e., Facebook, Twitter) contributing to the annual readership of those issues pertaining to the contest and over 700 people attending the Bachelor of the Year party held every October held at a local Hilton Head or Bluffton entertainment spot.

CH2 strives to give back to the community in which they have been so successful by sponsoring charitable events in both Hilton Head Island and Bluffton (Bluffton’s MayFest, put on by the Bluffton Rotary), donating editorial space to worthy organizations (Bold Strokes, Volunteers in Medicine, March of Dimes), and making the Hilton Head Island Rec Center the recipient of monies raised in conjunction with the Bachelor of the Year Contest.